Generally, you have to be pointing at something as these staffs mainly transform existing blocks. The Staff of Wonder works in the Darklands Biome.

Travel to the Darklands Biome, a dark, forbidding biome full of generated structures – Dark Castles and Sheds of Doom. Get the materials for the Staffs from the castles, or die in the attempt. Use the Staffs to transform the world and bring Light to the DarkLands:

After a bit of work with the staffs.. (Right click to use. Wait for the thunder..)

Basic Staff Crafting. The recipe is the same for all staffs apart from the top, (list below)